5 reasons why chatbots are the future of online commerce

Technology is often viewed as impersonal, something that provides a consistent experience for every user, no matter who they are. This last statement could be considered outdated, in fact, many recent technological advances , especially in e-commerce, focus on the exact opposite: providing personalized , face-to-face interactions between brands and buyers individually, but on a large scale.

According to data from the consulting firm Nielsen, e-commerce will grow 5% by 2021, which means that it will soon represent 17.5% of total retail sales worldwide. Perhaps the most powerful driving force behind the growth of the industry thus far has been technology. From the rapid improvement of smartphones to new software that creates immersive and frictionless experiences for customers, advancements in technology are paving the way for the future of e-commerce.

One size fits all in the marketing world no longer, and technology now provides retailers with a workable way to adjust their strategies in line with digital advancements. Chatbots represent one of the latest technological achievements capable of providing a comprehensive service, in real time and at low cost.

In this sense, and according to Gartner Research , by 2020 85% of customer service will be in charge of chatbots. However, conversational commerce is designed to meet our most natural human tendencies – the tendencies to connect, converse, and invest in products and services after gaining the right context and confidence to do so.

From Adglow , the most prominent Spanish multinational in technology and advertising services for the main social networks, we analyze the 5 reasons why chatbos are the future of online commerce.

1. Chatbots are capable of improving the customer experience. 

Retail robots are available to help users 24/7, and are a good strategy for brands, as they provide a remote service, with high conversion margins and in real time. Chatting with a bot is easy, enjoyable, and doesn’t involve any waiting like most traditional support channels. This constant availability and continuity shows customers that brands prioritize their comfort and experience.

Depending on how the bot is designed, it can answer questions, offer product recommendations, and provide support, no matter what time or day. According to the consulting firm Gartner, clients can handle up to 85% of their interactions with a company without even speaking to a human. Many companies have chosen to build chatbots to answer most customer questions, but in many cases there is a possibility that the user would prefer to speak to a human agent. In those cases, bots can steer you into conversation with an agent in the flesh.

2. Chatbots help increase sales

The great service a robot offers can turn users into regular customers. Not only can a chatbot answer questions in an engaging way, it can also be configured to provide a fully personalized shopping experience. In fact, chatbots for retail companies are perfect when it comes to offering recommendations tailored to the needs of each product. It can be designed to ask a few questions about the user’s needs or preferences, and then have it display a selection of specific products that you might like. From there, customers can click into your store and purchase a service or product.

A bot can also be used to retrieve shoppers who added items to their cart, but left without purchasing them. Abandoned cart reminders are helpful, engaging, and effective. They have an 80% open rate compared to 25% for email, plus a 10x higher click-through rate.

3. Chatbots save time and money

Chatbots follow a question-and-answer pattern that mimics the back and forth of a real human conversation. Bots are perfect for answering the most frequently asked questions from consumers and potential customers. Whether it’s inquiries about product features, shipping costs, returns, or tracking an order, bots can be equipped to provide useful information in a conversational-type format.

As a result, human agents have more time and energy to focus on highly complex queries, rather than wasting time repeating the same answers to frequently asked questions. You may also save on personnel costs in this way. Just remember that chatbots are not designed to replace the traditional template. Even so, it is convenient that at any time users are offered the option to request a chat with a human agent instead of with their bot.

4. Chatbots help you differentiate yourself from the competition

Although there are some major retailers that use chatbots, they are still a relatively new technology in the ecommerce industry. That is why adopting one now means that you are ahead when it comes to implementing digital services. Bots can provide useful, fun, and unique experiences to users throughout the buying and selling journey.

5. Chatbots make the shopping experience 100% customizable

Bots are an extremely versatile technology. With the correct tools, they can be customized to ideally fit the needs of any business that requires it, regardless of its niche or audience. Chabots can be adjusted to support multiple languages, integrate directly into the website, and much more.

Chatbots are an efficient way to harness the increasingly powerful capabilities of artificial intelligence for ecommerce sales and customer service. With the right approach and implementation, a chatbot can improve the buyer experience and increase revenue, all while saving time and money. Chatbots are the future of e-commerce.